MI - Week 5 Flashcards
Little i innovation
Innovation that is necessary for continuous improvement, but doesn’t reap high profits or contribute to a competitive edge
Big I innovation
Innovation that is new to a company, more risky but also more profitable
What tools does Day discuss can help you evaluate the feasibility of your projects, while managing their risks?
RWW & Risk Matrix
RWW Screening
- Real: Is the market real? Is the product real?
- Win: Can the product be competitive? Can our company be competitive?
- Worth: Will the product be profitable @ an acceptable risk? Does launching the product make strategic sense?
Risk Matrix
Assesses probability of failure based on:
1. Market/industry similarity
2. Product similarity
(As compared to current market or product offering)
RWW importance
Exposes faulty assumptions, knowledge gaps, and risks
Risk matrix importance
Uses scoring to estimate probability of success or failure as it pertains to the companies current capabilities
What is open innovation?
A strategy where companies use external ideas, knowledge, and collaborations with other organizations (such as universities, research institutions, or other companies) to advance their internal research and development
What is closed innovation?
A strategy where only internal expertise and knowledge are leveraged. IP is confidential, product is made in-house, and it reflects a first-mover advantage mindset.
What are the advantages of open innovation?
Advantages:
- Access to external expertise
- Cost efficiency
- Faster innovation
- Risk sharing
- Enhanced credibility
What are the disadvantages of open innovation?
Disadvantages:
- Intellectual property risks
- Coordination challenges
- Dependence on external entities
- Regulatory complexities
What was Lynk biotech’s success in adopting open innovation primarily driven by?
Access to complementary capabilities, allowing the firm to leverage external resources and expertise.
What was the primary weakness in Lynk Biotech’s management of its open innovation project?
Focusing too heavily on the publication route, which may have delayed market entry and targeted the wrong audience.
Why are individuals’ problems important and how should we frame them?
We care about understanding individuals’ problems because those problems reveal unmet needs, frustrations, or desires that, when addressed, can lead to valuable opportunities for innovation or improvement.
Effectively framing the problem is crucial to identifying the right opportunities. One approach is to break the problem down into its root causes rather than surface-level symptoms. Brainstorming bad ideas as a way to explore exaggerated or extreme solutions, which helps to shift perspectives and uncover creative solutions that may not have been obvious initially.
What is visualization?
The
